06 January 2006
Gourmet Burger Kitchen franchise agreement for the Middle East
The Clapham House Group PLC, the restaurant group that operates Gourmet Burger Kitchen (“GBK”), The Bombay Bicycle Club and The Real Greek, announces that on 5 January 2006 it signed a franchise development agreement with GGC Burger Limited, a subsidiary of UAE based Gourmet Gulf Company LLC (“GGC”).
Under this agreement GGC intends to develop a number of GBK restaurants across the Middle East over the next three years. In particular, GGC intends to focus on the rapidly developing markets of UAE and Kuwait. GGC already has many years of experience in developing UK and US restaurant formats in this region.
The GBK menu in each territory will be refined to reflect regional tastes, with Clapham House approving all such variations as well as supervising local operational and quality procedures.
Under the terms of the deal, Clapham House will be paid an up front territory fee and further fees on the opening of each restaurant, together with a percentage of sales in each restaurant. Clapham House will also receive a percentage of any sale proceeds should the franchisee subsequently sell its restaurants developed under franchise. Clapham House will have no capital invested in the territories.
Paul Campbell, Clapham House’s Chief Executive, commented:
Several operators have approached us with proposals to develop our brands outside the UK. We decided that the Middle East is an ideal market in which to launch our first international franchise and an excellent opportunity to test the international franchise potential for GBK. In GGC we have an experienced and well -resourced partner. Whilst our main focus will continue to be expansion in the UK, this is a very interesting development for the Group.
Enquiries:
The Clapham House Group PLC
Paul Campbell,
Chief Executive
Tel: 07785 228 299
Noble & Company Limited
John Llewellyn-Lloyd
Tel: 020 7763 2200
Gainsborough Communications
Andy Cornelius / Julian Walker
Tel: 020 7190 1705
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